Cuatrecasas advises on Diamond Resorts procedural and contractual strategy to validate its time-sharing contracts under English law

Cuatrecasas has advised Diamond Resorts on a recent judgment of the Plenary of the First Chamber of the Supreme Court that confirms the theses defended by the Firm’s Cassation and Special Appeals Group before the Court of Justice of the European Union, first, and subsequently before the Supreme Court, for the interpretation of the Rome I Regulation.

The judgment affirms the validity of choice of law clauses subjecting consumer contracts to the law of the consumer’s domicile under the Rome I Regulation. It also shifts the burden of proving foreign law to the plaintiff, offering an innovative interpretation of Article 281 of the Civil Procedure Act.

This ruling provides full support for the company’s contractual strategy to submit disputes over its time-sharing contracts to English law.

Until now, the thesis upheld by the Provincial Courts, mainly in Malaga and Tenerife, had been the opposite and, as a consequence, had led to the systematic declaration of nullity of contracts which, under English law, are valid.

The Cuatrecasas team in charge of advising on this matter was formed by José María Macías (recently appointed Judge of the Constitutional Court), Álvaro Luna and Markus Gómez.